Tesla Q3 revenue of $28.05 billion beats analyst forecasts as spending rises
In short
Tesla reported third-quarter revenue of $28.05 billion, slightly above the $27.9 billion analyst median compiled by LSEG, with earnings per share of 48 cents against an expected 43 cents. Revenue was 0.2% lower than a year earlier, and capital expenditure more than doubled to $4.73 billion on AI and robotics investment.
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Tesla said on the 21st, US local time, that its third-quarter revenue was $28.05 billion, according to Asia Economy and Kyunghyang Shinmun. Yonhap reported the same figure. Kyunghyang Shinmun said this was 0.2% lower than a year earlier and about 37.2 trillion won. [ 1 , 2 , 4 ]
The result exceeded the median forecast of $27.9 billion from market analysts surveyed by LSEG. Earnings per share were 48 cents, above the 43 cents the market expected. Yonhap said Tesla beat market expectations even though spending had surged on AI and robotics investment. [ 2 , 3 , 4 ]
By segment, Kyunghyang Shinmun reported that automotive revenue fell 3% from a year earlier to $20.56 billion, and energy generation and storage revenue fell 16% to $2.88 billion. Services and other, which covers charging, insurance and repair, rose 33% to $4.61 billion, which the paper said limited the fall in total revenue. [ 4 ]
Tesla also said adoption of its FSD subscription software had risen noticeably. More than 75% of new vehicle deliveries in North America included an FSD subscription, about 20 percentage points above the previous quarter, and active FSD subscribers rose 67% from a year earlier to 1.74 million. Yonhap's updated report also pointed to higher adoption of the self-driving software. [ 3 , 4 ]
Total third-quarter vehicle deliveries were 486,532, down 2% from a year earlier. Kyunghyang Shinmun said Tesla set quarterly delivery records in some countries, including Canada, Japan, Taiwan and Australia. [ 4 ]
Capital expenditure was $4.732 billion, more than double the $2.248 billion of a year earlier, because of large investment in AI and robotics. Free cash flow was $1.531 billion, down 62% in a year. Kyunghyang Shinmun noted that Tesla had recorded a deficit of about $1.1 billion in the second quarter, so free cash flow returned to a surplus within one quarter. [ 4 ]
Why it matters
Korean outlets framed the result as beating expectations even as AI and robotics spending pushed up costs. Higher capital spending cut free cash flow by 62% from a year earlier, according to Kyunghyang Shinmun.
Key facts
- Tesla said third-quarter revenue was $28.05 billion (about 37.2 trillion won), down 0.2% from a year earlier. [ 1 , 2 , 4 ]
- The figure topped the $27.9 billion median of analyst forecasts surveyed by LSEG. [ 2 , 4 ]
- Earnings per share were 48 cents, above the 43 cents expected by the market. [ 2 , 4 ]
- Automotive revenue fell 3% to $20.56 billion, and energy generation and storage revenue fell 16% to $2.88 billion. [ 4 ]
- Services and other revenue rose 33% to $4.61 billion. [ 4 ]
- More than 75% of new vehicles delivered in North America included an FSD subscription, about 20 percentage points more than in the previous quarter; active FSD subscribers rose 67% to 1.74 million. [ 4 ]
- Capital expenditure was $4.732 billion versus $2.248 billion a year earlier; free cash flow was $1.531 billion, down 62% from a year earlier. [ 4 ]
Confirmed by several sources
- Tesla reported third-quarter revenue of $28.05 billion on the 21st, US local time. [ 1 , 2 , 4 ]
- Revenue exceeded the LSEG analyst median forecast of $27.9 billion. [ 2 , 4 ]
- Earnings per share of 48 cents exceeded the 43 cents expected by the market. [ 2 , 4 ]
- The result came as spending rose on AI and robotics investment. [ 3 , 4 ]
Still unclear
- Segment, FSD, delivery, capital expenditure and cash flow figures. These appear only in the Kyunghyang Shinmun article; the other documents give only the headline revenue figures or a short summary.
- The won value of revenue, about 37.2 trillion won. Kyunghyang Shinmun gives it as an approximate conversion; the other documents do not give a won figure in their text.
What local media are saying
Timeline, local time
- Yonhap published its first report on Tesla's third-quarter revenue of $28.05 billion. [ 1 ]
- Asia Economy reported the revenue and earnings-per-share beats over LSEG expectations. [ 2 ]
- Yonhap published an updated report adding FSD software adoption and AI and robotics spending. [ 3 ]
- Kyunghyang Shinmun published a detailed report with segment, FSD, delivery and cash flow figures. [ 4 ]